Largest Data Center in Texas Generates $3 Million of Tax Incentives for CyrusOne Customers
City of Carrollton tax incentive builds on Texas House Bill No.1223 to incentivize eligible data center customer purchases
DALLAS (November 10, 2016) – Global colocation solutions provider CyrusOne (NASDAQ: CONE) today announced that as a result of tax grant incentive agreement between the City and CyrusOne, the company has generated $3 million in tax savings for customers operating in CyrusOne’s Carrollton Texas data center. Passed in June 2013, the Carrollton tax incentive is an addition to the Texas state incentives, (H.B. No. 1223) which eliminated the state sales and use tax of 6.25 percent on data center utilities, infrastructure, and networks purchases. The Carrollton-specific incentive rebates up to another 0.5 percent in sales and use tax for the same customer purchases, or up to 50 percent of the taxes the city would normally receive.
“As the largest operating data center in Texas, CyrusOne’s Carrollton facility has been a tremendous source of job growth and investment for the greater Dallas and Carrollton area. The tax incentives have thus far saved our customers $3 million since 2013 which we believe to be one of the highest incentives in the state,” said Gary Wojtaszek, president and CEO. “This data center facility is approximately one-quarter-mile long, or large enough to house six 747 airplanes or two Washington Monuments. The data center offers up to 26 Megawatts of power, which is enough to power 20,000 homes. CyrusOne is the only data center provider in the greater Dallas area offering this type of return on investment. Bold leaders such as Carrolton City Manager Leonard Martin and Mayor Matthew Marchant epitomize what makes the DFW community such a vibrant business environment by helping to attract companies to locate their mission critical information technology in Carrollton.”
“CyrusOne is a valued partner in Carrollton’s business community,” said City of Carrollton Mayor Matthew Marchant. “Having CyrusOne’s Data Center in Carrollton provides a positive benefit to the local economy and nearby citizens.”
Since moving its headquarters to Carrollton after its IPO, CyrusOne has generated a total shareholder return of more than 120%, compared to an increase in the RMZ of less than 5% over the same period, making it one of the best performing REITs in the country. The company has an enterprise value of approximately $5 billion and serves the needs of nine of the Fortune 20 and seven of the ten largest cloud companies in the world.
CyrusOne operates more than 30 carrier-neutral data center facilities across the United States, Europe, and Asia to provide customers with the flexibility and scale to match their specific IT growth needs. CyrusOne facilities are engineered to include the power-density infrastructure required to deliver excellent availability, including an architecture with the highest available power redundancy (2N).
Renowned for exceptional service, building enduring customer relationships, and high customer satisfaction levels, CyrusOne serves nine of the Fortune 20 and more than 175 of the Fortune 1000 among its more than 950 customers.
CyrusOne (NASDAQ: CONE) specializes in highly reliable enterprise-class, carrier-neutral data center properties. The company provides mission-critical data center facilities that protect and ensure the continued operation of IT infrastructure for more than 950 customers, including nine of the Fortune 20 and more than 175 of the Fortune 1000 or equivalent-sized companies.
CyrusOne’s data center offerings provide the flexibility, reliability, and security that enterprise customers require, and are delivered through a tailored, customer-service-focused platform designed to foster long-term relationships. CyrusOne’s National IX platform provides robust connectivity options to drive revenue, reduce expenses, and improve service quality for enterprises, content, and telecommunications companies. CyrusOne is committed to full transparency in communication, management, and service delivery throughout its more than 30 data centers worldwide. Additional information about CyrusOne can be found at www.cyrusone.com.
David M. Baum